Nido sold first crude oil to a company in South Korea
Posted on August 20th, 2010
Nido Petroleum Ltd. sold its first oil from the Tindalo oil field off Palawan. The Australian firm has sold to a buyer in South Korea some 230,000 barrels for crude oil cargo. Joanne Williams, Nido deputy managing director, said the sale was confirmed by the joint venture’s marketing agent, Trafigura Pte Ltd., with the lifting expected in the second half of September.
“An advance on the proceeds from 173,655 barrels of crude oil from the first sale was received on August 19. These barrels will remain stored aboard the floating storage and offtake (FSO) vessel until the lifting,” Williams said.
The Tindalo oil well is producing approximately 1,535 barrels of oil a day. Williams said that the Service Contract 54 A, which covers the said oil well, has also approved the Tindalo-1 well intervention and remediation program.
She explained, “Dependent upon the results of diagnostic logging that will be undertake after, well re-entry will involve either one or more of the following options: reperforation deeper in the oil column; water shutoff via cement squeeze; or sidetrack drilling within the Nido Limestone.”
Nido’s stake in the SC 54A joint venture license is 42.4 percent. 30.1 percent interest belongs to another firm, Yilgarn Petroleum, Trafigura Ventures has 15 percent and TG World (BVI) Corp. has 12.5 interests. The Tindalo oil well is estimated to yield up to 24.5 million barrels of oil
